TAILIEUCHUNG - Passing the baton – encouraging successful business transfers Evidence and key stakeholder opinion

Creativity is vital for every part of the economy. The ability to generate a diverse set of business options through new ideas is a central feature of innovation in all firms and, as such, is central to sustained economic growth. Design, as a structured creative process, is an important competitive tool for firms in many sectors, although design activities can take many forms across those different sectors. The UK led the world in recognising the significance of creativity and design. The Design Council was set up in 1944. Nonetheless, intensifying cross border competition, rapid changes in technology and changing customer demands are placing new urgency on the need for. | small business service Passing the baton - encouraging successful business transfers Evidence and key stakeholder opinion dti A DTI SERVICE dti SMALL BUSINESS SERVICE A DTI SERVICE Working with the public private and voluntary sectors to make the UK the best place to start and grow a business. The DTI drives our ambition of prosperity for all by working to create the best environment for business success in the UK. We help people and companies become more productive by promoting enterprise innovation and creativity. We champion UK business at home and abroad. We invest heavily in world-class science and technology. We protect the rights of working people and consumers. And we stand up for fair and open markets in the UK Europe and the world. Evidence and key stakeholder opinion of business transfer issues Background Budget 2004 included the following announcement Effective transition of business ownership has the potential to drive productivity benefits through improved innovation investment and skills. However ensuring a smooth succession of ownership can be especially challenging for smaller businesses who may not know how to get appropriate advice and who may face barriers in raising finance to fund the transition. The Small Business Council has asked the Government to examine the barriers that might constrain business transfer. Martin Wyn Griffith the Chief Executive of the Small Business Service will lead a crossdepartmental review of the hurdles that businesses face when their ownership changes and what more could be done to ease the process. The review s outcomes support the Government s strategic policy framework for small businesses by building an enterprise culture and encouraging new entrepreneurs to acquire an existing business something that carries a lower risk than starting a new one encouraging a more dynamic start-up market by encouraging the acquisition and subsequent growth of established businesses encouraging small business growth by .

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